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Birla Sun Life Insurance-Vision Money Back Plus Plan

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Birla Sun Life Insurance-Vision Money Back Plus Plan

BSLI Vision Money Back Plus Plan is a traditional Money Back Insurance Plan which provides liquidity through regular money back payouts and also life insurance protection. Thus the plan helps the policyholder to meet his financial obligations easily using the payouts provided.


Highlights of the Birla Sun Life Insurance-Vision Money Back Plus Plan

  • This is a traditional Money Back Plan which participates in bonus declarations and earns simple reversionary bonuses.
  • Premiums are payable only for a limited tenure which is about half of the chosen plan tenure.
  • Riders are available for enhancing coverage.
  • Premium discounts are given for higher Sum Assured levels and premium paying frequencies. 
  • Guaranteed Survival Benefit payout period can be chosen by the policyholder.


Working of the Birla Sun Life Insurance-Vision Money Back Plus Plan

  • The policyholder chooses the plan term, Sum Assured, the payout period and premium paying frequency. Based on the policyholder’s age and the above criteria, the premium would be determined.
  • Premiums are to be paid for the tenure as determined by the policy term.
  • Guaranteed Survival benefits accrue after every4th year or 5th year as chosen by the policyholder.
  • On death during the period, the death benefit is paid.
  • On maturity, the maturity benefit is paid.
 

COMPARE THIS PLAN WITH OTHER MONEY BACK PLANS


Benefits and Features of Birla Sun Life Insurance-Vision Money Back Plus Plan

  • Maturity Benefit – When the plan matures and the premiums have been duly paid, the following benefits would be paid:
    Vested reversionary Bonuses +Terminal Bonus, if any
  • Death Benefit – If the insured dies during plan term and the policy is in force, the death benefit payable would be:
    Sum Assured on Death + accrued reversionary bonuses + Terminal Bonus, if any.
    The death benefit payable should not be lower than 105% of the premiums paid till death
    The Sum Assured on death would be higher of the following:
    • 10 times the annual premium
    • Sum Assured chosen on plan commencement
  • Guaranteed Survival Benefit – Money back payouts, called Guaranteed Survival Benefits, are paid every 4 years or 5 years as chosen by the policyholder. The rate of the payouts would be expressed as a percentage of the Sum Assured and depend on the policy term and the payout frequency chosen. Here is the table depicting the corresponding benefits:
Survival Benefit year chosen Term – 20 years Term – 24 years
4th 10% 10%
8th 15% 15%
12th 20% 20%
16th 25% 25%
20th 30% 30%
24th NA 35%

 

Survival Benefit year chosen Term – 20 years Term – 25 years
5th 15% 15%
10th 20% 20%
15th 25% 25%
20th 40% 30%
25th NA 45%


The Guaranteed Survival Benefits can be deferred until the next payout date or further. On such postponement, the benefit payable would be increased. The enhanced rate of benefit paid based on the year till which it is deferred is mentioned in the table below:

For terms 20 and 24 years:

Survival Benefit year chosen Guaranteed Survival Benefit Payable The enhanced benefit payable corresponding to the year up to which the benefit is deferred
4th 8th 12th 16th 20th 24th
4th 10% 10% 12% 15% 19% 23% 29%
8th 15% NA 15% 18% 23% 28% 35%
12th 20% NA NA 20% 24% 30% 37%
16th 25% NA NA NA 25% 30% 37%
20th 30% NA NA NA NA 30% 37%
24th 35% NA NA NA NA NA 35%


For terms 20 and 25 years:

Survival Benefit year chosen Guaranteed Survival Benefit Payable The enhanced benefit payable corresponding to the year up to which the benefit is deferred
4th 8th 12th 16th 20th
5th 15% 15% 20% 25% 33% 43%
10th 20% NA 20% 25% 33% 43%
15th 25% NA NA 25% 33% 43%
20th 30% NA NA NA 30% 39%
25th 45% NA NA NA NA 45%


If the policyholder dies or surrenders his policy, the discounted value of the increased benefit would be paid along with the regular death or surrender value subject to a minimum of the original benefit payable on the due date.

  • Bonus – Simple reversionary bonuses are declared under the plan and are paid every year for which the policy is in-force. A terminal bonus may also be paid on death or maturity of the plan.
  • Loan –Loan can be taken on the policy after the policy has acquired a Surrender Value. The maximum amount of loan available is 85% of the acquired Surrender Value while the minimum amount is Rs.5000.
  • Tax benefit – Premiums paid under the plan would be exempt from tax under Section 80C up to a limit of Rs.1.5 lakhs. The death benefit or the maturity benefit received and the Survival benefit received would also be tax exempt under Section 10(10D) of the Income Tax Act.


Eligibility Criteria of Birla Sun Life Insurance-Vision Money Back Plus Plan

The plan can be bought only by Resident Indians. The other eligibility criteria of the plan includes:

  Minimum Maximum
Entry age (Last Birthday) 13 years 45 years
Plan tenure 20, 24 or 25 years
Premium payable Depends on the Sum Assured, age, plan tenure and gender of the insured
Premium Paying Term (PPT) Term 20 years – 10 years
Term 24 and 25 years – 12 years
Sum Assured Rs.1 lakh No limit
Premium payment mode Monthly, quarterly, half-yearly and annually



Additional Benefits of Birla Sun Life Insurance-Vision Money Back Plus Plan

  • Riders – Five additional riders can be added to the base plan for a comprehensive coverage option. The available riders are as follows:
    • BSLI Accidental Death and Disability Rider
    • BSLI Critical Illness Rider
    • BSLI Surgical Care Rider
    • BSLI Hospital Care Rider
    • BSLI Waiver of Premium Rider
  • Premium Rebates – Discount in premiums are allowed if the premiums are paid in the annual or half-yearly mode. The discount would be 5% for the annual mode and 2% for half-yearly mode of premium payment. 
  • Sum Assured Rebate – Discounts are also given in premiums for choosing Sum Assured levels of Rs.2 lakhs and above. The Sum Assured levels are categorized in 4 bands and bands 2, 3 and 4 qualify for the rebate. The applicable rebates are as follows:
Sum Assured Bands Rebate per 1000 Sum Assured
Band 1 – Rs.100,000 to Rs.199,999 NA
Band 2 – Rs.200,000 to Rs.399,999 Rs.1
Band 3 – Rs.400,000 to Rs.799,999 Rs.5
Band 4 – Rs.800,000 and above Rs.7

 

  • Grace Period – A grace period of 30 days is allowed for payment of premium after the due date for all modes of premium payment. The life cover under the policy would continue during the grace period.
  • Free Look Period – A cooling off period or a free look period of 15 days (30 days for distance marketing channels) is granted to the policyholder after the policy issuance to review the policy terms and conditions. If found unsatisfactory, the plan can be cancelled within this period and the premium paid would be refunded after deducting the relevant mortality charge, service tax, cess and stamp duty paid

Plan Details

Let's Understand The Plan With An Example:

Vikas at age 35 chooses to buy BSLI Vision MoneyBack Plus Plan for a policy term of 20 years for a Sum assured of Rs. 2,50,000. Based on his life stage, his annual premium per year is set at Rs. 26,225 which he has to pay for 10 years. Since he chose to receive the guaranteed survival benefit every 5th year, he will receive Rs. 37, 500 in 5th year. The amount will increase to Rs. 50,000, Rs. 62,500 & Rs. 1,00,000 in 10th, 15th & 20th year respectively. Total Maturity Benefit he can expect at the end of a 20 year term at 8% interest will be Rs. 2,25,000. & @ 4% Rs. 50,000. 

In case of Vikas's untimely demise, his family will receive the guaranteed Death Benefit of Rs. 262,248 plus accrued regular bonus, hence total death benefit paid to the nominee is Rs. 4,87,248 at 8% interest and Rs. 312,248 @ 4% interest rate. 

Note: The rates mentioned above are bound to change in the future.
Please contact the company for final rates applicable to you at the time of purchase

 

Exclusions in Birla Sun Life Insurance-Vision Money Back Plus Plan

  • If suicide is committed within a year of policy issuance or revival, higher of the premiums paid till death or the Surrender Value acquired would be paid provided the policy is in force


Non-Payment of premium in Birla Sun Life Insurance-Vision Money Back Plus Plan

Premiums have to be paid for at least 3 years. After this compulsory period, the policyholder can surrender the policy or make it paid-up.

Making the policy Paid-up

If at least3 full years’ premium has been paid, the policy would become a paid-up policy if future premiums are not paid. The benefits under the plan would be reduced and would be called Paid-up benefits. Bonuses would not be declared under the policy and the following benefits would be paid as and when they occur:

  • Death Benefit –Reduced Sum Assured on death + accrued bonus
    Reduced Sum Assured on death = (number of premiums paid/ number of premiums payable) * Sum Assured on Death
  • Guaranteed Survival Benefit – The survival benefits payable after every 4th or 45th policy year would be calculated using the Reduced Sum Assured. These benefits cannot be deferred under the paid-up condition.
  • Maturity benefit – The accrued bonuses are paid on maturity.


Surrendering the policy

Surrender is allowed only after the policy becomes paid-up, i.e. after3 full years’ premiums have been paid. On surrendering the policy, higher of the Guaranteed Surrender Value (GSV) or the Special Surrender Value (SSV) would be paid. Also, the discounted value of the enhanced Survival Benefit, if deferred, would be paid.

  • GSV = {(Basic Premium paid excluding taxes * GSV Factor)+ (Vested bonuses * GSV factor of bonus)– Guaranteed Survival Benefits already paid}
  • The SSV factors would be declared by the company based on its performance 


Revival

Revival is allowed within 2 years from the date of the first unpaid premium. The policyholder would be required to pay the outstanding premium and any interest charged by the insurer to revive his policy.


 

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